Philippine SEC embraces tokenization as sandbox bets expand
The Philippine SEC has reinforced its support for real-world asset tokenization as four companies, including a tokenized real estate project, advance through its regulatory sandbox.
- Philippine SEC says existing laws can support tokenized real-world assets and related investment products.
- Four companies are testing new financial products in the SEC’s Strategic Sandbox, including tokenized real estate.
- BSP has tightened crypto listing requirements while maintaining licensing scrutiny of digital asset firms.
Speaking at Philippine Blockchain Week 2026, SEC Commissioner Rogelio Quevedo said the regulator is now confident that existing laws and its regulatory framework can accommodate tokenized assets.
According to Quevedo, the SEC believes tokenization can introduce new forms of capital market activity and could eventually transform how securities are issued and traded.
During the event, Quevedo said the agency had reached a point where it was comfortable overseeing tokenized products within the country’s existing legal structure. He added that asset tokenization could encourage financial innovation while creating new opportunities for investors and market participants.
The comments come as the SEC continues to expand its use of StratBox, a regulatory sandbox that allows financial technology firms to test products and business models under direct supervision.
Sandbox participants are already testing tokenized products
According to the SEC, StratBox gives regulators the ability to temporarily modify or waive certain regulatory requirements for individual participants while products are being tested. The agency has stressed that sandbox participation does not exempt companies from existing laws and cannot be used to bypass regulatory obligations.
In November 2025, the SEC disclosed that four companies had been admitted into the program. According to the regulator, one participant was testing a tokenized real estate offering, while two others were evaluating products designed to provide access to United States equities. The SEC also granted BlockShoals Technologies in-principle approval to test crypto-related products and services within the sandbox environment.
Separately, Quevedo argued in a recent interview that tokenized investment products could help overseas Filipino workers gain access to regulated investment opportunities. He said many overseas workers have available capital but often struggle to identify legitimate ways to grow their savings, leaving them vulnerable to fraudulent investment schemes.
At the same time, Quevedo said the SEC has strengthened its enforcement capabilities as digital asset activity expands. According to his remarks, the regulator is using artificial intelligence tools to identify investment scams and is working with major online platforms, including Google and TikTok, to remove illegal offerings targeting Filipino investors.
Crypto oversight is tightening alongside tokenization efforts
While the SEC continues to explore tokenization, the country’s central bank, Bangko Sentral ng Pilipinas, has introduced stricter requirements for virtual asset service providers operating in the country.
Under new guidance from the central bank, VASPs must implement more extensive due diligence procedures before listing cryptocurrencies for customers.
The BSP said exchanges should evaluate digital assets based on issuer background, market maturity, use cases, transparency and security standards, liquidity conditions, and legal compliance before making them available on their platforms.
Licensing requirements have also remained a focus for regulators. According to reporting by BitPinas, the BSP recently said neither Binance nor BlockShoals currently holds a virtual asset service provider license, a requirement for firms offering crypto payment and transaction services in the Philippines.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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